New rules for Short term Rental ( AL = Alojamento local) in Portugal Degree-Law No. 76/2024, published on October 23, 2024

1)  Alojamento Local (AL) registrations have become transferable again in Portugal.

This change was implemented as part of the new regulations that came into effect on 1^st of November 2024.

The government has lifted the previous restrictions on transferability, allowing AL licences to be transferred when a property is sold or ownership changes

This means that both individual owners and companies holding AL registrations can now transfer their licences, reversing the previous non-transferability rule.

Municipalities retain the authority to impose their own restrictions on licence transfers.

Property owners should check with their local authorities for any specific rules or limitations that may apply

2 ) Removal of the ban on new AL licences in coastal areas

The new law lifted the restrictions from the Mais Habitação programme and implemented changes introduced by the "Construir Portugal" programme.

AL licences are now permanent, no longer expiring after five years.

It's important to note that while national-level restrictions have been lifted, municipalities may still introduce regulations that bring back some restrictions, such as licence expiration or transfer limits.

3) unanimous condominium approval is no longer required to open an Alojamento Local (AL) in Portugal

The requirement for condominium approval for new AL installations has been scrapped, allowing property owners to set up an AL in a residential building without needing consent from all residents.

Hostels still require condominium approval if they are to be opened in a building with horizontal ownership

Condominiums retain the right to oppose AL operations within their buildings, but now need stronger justification. Opposition must be based on evidence of disturbances or actions that significantly disrupt the building's everyday use.

If a condominium has its own building rules prohibiting new ALs, it may still prevent the opening of new AL establishments.

4)  Municipalities now play a key role in mediating disputes between residents and Alojamento Local (AL) operators.

Residents can file complaints if they experience regular disturbances or issues caused by an AL

A vote can be held against the AL, requiring more than half of the building's co-ownership shares to approve. The matter is then referred to the municipality for mediation. The municipal AL representative has 60 days to initiate a process to achieve an agreement between the AL and other parties